AP v BP & Ors (financial remedies - s37 application to set aside disposition)

AP v BP & Ors (financial remedies - s37 application to set aside disposition)

The wife disposed of shares in [Company B] to the intervenors within three years before the application, with the consequence and intention of defeating the husband's claim for financial relief. The presumption under section 37(5) MCA 1973 was not rebutted. The intervenors failed to establish a defence under section 37(4) as there was no valuable consideration, no good faith, and they had notice of the wife's intention.

Parties
Applicant Husband: AP; Respondent Wife: BP; Intervenor: PN; Intervenor: GN
Jurisdiction
England and Wales
Judgment Date
26 November 2024
Procedural Posture
Financial Remedy Application (matrimonial Causes Act 1973) / Judgment on Section 37 Application to Set Aside Share Dispositions
Outcome
Application to set aside both sets of share dispositions succeeds.
Legal Topics
Avoidance of Transactions, Financial Relief, Share Dispositions, Litigation Privilege, Disclosure
Family Law Matrimonial Property Avoidance of Transactions Financial Relief Share Dispositions Litigation Privilege Disclosure

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 3 Party arguments 2 Amounts and remedies 11
Sign in to unlock

Parties

AP

Applicant Husband

BP

Respondent Wife

PN

Intervenor

GN

Intervenor

Procedural Posture

Financial Remedy Application (matrimonial Causes Act 1973) / Judgment on Section 37 Application to Set Aside Share Dispositions

Legal Issues

  1. 1 Whether share transfers by the wife to intervenors were intended to defeat the husband's claim for financial relief under section 37 Matrimonial Causes Act 1973
  2. 2 Whether the intervenors have a defence under section 37(4) MCA 1973

Ratio Decidendi

The wife disposed of shares in [Company B] to the intervenors within three years before the application, with the consequence and intention of defeating the husband's claim for financial relief. The presumption under section 37(5) MCA 1973 was not rebutted. The intervenors failed to establish a defence under section 37(4) as there was no valuable consideration, no good faith, and they had notice of the wife's intention.

Court Disposition

Application to set aside both sets of share dispositions succeeds.

Orders

  • Dispositions of shares by the wife to the intervenors are set aside pursuant to section 37(2)(b) MCA 1973.
  • Position restored to pre-agreement: wife holds 70 shares, ML holds 30 shares in [Company B].